WHEAT TRADER shipped 60,000 tonnes of Canadian wheat grain aboard LIVERPOOL BULK’S vessel the “Liverpool Lady” from Thunder Bay, Canada, on the 1st August 2019. LIVERPOOL BULK issued WHEAT TRADER with a number of bills of lading. The Bill of Lading stated, amongst other things:
“Shipped aboard the “Liverpool Lady” in Thunder Bay on the 1st August 2019 in apparent good order and condition 60,000 tonnes of wheat grain. To be delivered to WHEAT
TRADER or their order in Nantes, France.”
The bill of lading is subject to English law and jurisdiction.
On the 5th August 2019 WHEAT TRADER sold “60,000 tonnes of Canadian wheat grain; price US$185/METRIC TONNE; c.i.f. Nantes; shipment period August 2019″ to MONSIEUR TRADER tendering to MONSIEUR TRADER the bill of lading, an insurance policy and an invoice.
When the “Liverpool Lady” arrives in Nantes on the 14th August it is discovered that the wheat is contaminated by chemicals that had been used by LIVERPOOL BULK to clean out the ship’s holds before loading the wheat. The wheat is now valueless.
You have been contacted by MONSIEUR TRADER who request your advice. Write an essay discussing what claim, if any, MONSIEUR TRADER has for the damaged wheat. Include in your essay discussion on the following areas – whom should MONSIEUR TRADER claim against, what laws apply to the claim and any defences that the defendant may rely on to defeat or limit any claim.
Your essay should also incorporate appropriate case law to illustrate your legal argument.